Bryn Mawr Bank Corporation's (BMTC) earnings gave a positive surprise in the third quarter due to booking of a very low provisions charge for loan losses. Next year, earnings are expected to be driven by lower provisions charge and non-interest expense, and higher non-interest income. The prospects of earnings increase have already been mostly incorporated in the current stock price, so it is advisable to wait for dips in price before investing in BMTC.
Provisions Likely to Rise Again After Surprise Dip
BMTC's provision charge for loan losses continued to trend downwards in the third